Citi and American Airlines have introduced a new co-branded credit card, the Citi / AAdvantage Globe Mastercard. This new offering fills a gap between existing premium and entry-level cards. It carries a $350 annual fee and includes a range of benefits such as lounge access, a companion certificate, and flight credits. The card also provides an accelerated path to elite status with American Airlines.
Key Takeaways
- New AAdvantage Globe Card launched by Citi and American Airlines.
- Annual fee set at $350.
- Benefits include Admirals Club lounge passes, a companion certificate, and up to $100 in American Airlines inflight credits.
- Cardholders can earn 90,000 AAdvantage bonus miles after meeting spending requirements.
- Offers an accelerated path to elite status through the Flight Streak benefit and Loyalty Points.
Introducing the AAdvantage Globe Card
The new AAdvantage Globe Card is designed for travelers seeking a balance of benefits without the higher annual fee of premium cards. It positions itself as a mid-tier option within the American Airlines credit card portfolio. The card aims to attract frequent American Airlines flyers who value perks like lounge access and checked bags.
This launch follows the recent extension of the partnership between Citi and American Airlines. This extension suggested that Barclays' co-branded AAdvantage credit cards would eventually be phased out. Barclays has stopped accepting new applications for its AAdvantage cards.
Credit Card Landscape
The credit card market for airline co-branded products is competitive. Issuers often create tiers of cards to appeal to different segments of travelers. The AAdvantage Globe card fits directly between the high-end Citi / AAdvantage Executive World Elite Mastercard, which has a $595 annual fee, and the entry-level Citi / AAdvantage Platinum Select World Elite Mastercard, which has a $0 introductory annual fee then $99.
Welcome Offer and Key Benefits
New applicants for the AAdvantage Globe card can earn a substantial welcome bonus. After spending $5,000 within the first four months of account opening, cardholders will receive 90,000 AAdvantage bonus miles. Based on an estimated value of 1.4 cents per mile, this bonus is worth approximately $1,260.
Annual Perks and Credits
The card’s $350 annual fee is offset by several valuable benefits:
- Admirals Club Globe Lounge Passes: Cardholders receive four 24-hour passes annually. These passes are unique because they allow access even when operational limitations might restrict entry for other pass holders. Each pass admits one adult, and the primary cardholder must be present.
- American Airlines Companion Certificate: Annually, after card renewal, cardholders get a companion certificate. This allows a round-trip domestic flight in Main Cabin for $99 plus taxes and fees.
- Inflight Purchase Credits: Up to $100 in statement credits annually for eligible American Airlines inflight purchases. This includes food, beverages, and Wi-Fi on American Airlines flights and domestic flights marketed by AA but operated by regional subsidiaries.
- Checked Bag Benefit: The primary cardholder and up to eight companions on the same itinerary receive a complimentary first checked bag on domestic American Airlines flights.
- Preferred Boarding: Group 5 preferred boarding is provided for the primary cardholder and up to eight companions on the same reservation.
- Global Entry or TSA PreCheck Credit: Up to $120 statement credit every four years for the application fee.
- Turo Credits: Up to $240 in Turo credits annually, provided as up to $30 per eligible Turo trip, with a maximum of $30 credit per billing period. This is a unique benefit for an airline co-branded card.
- Splurge Credit: Up to $100 credit each year, valid for up to two of the following: AAdvantage Hotels bookings, 1stDibs, Future Personal Training, and Live Nation.
- Travel Protections: Includes trip cancellation, trip interruption, lost or damaged luggage protection, MasterRental insurance, and trip delay insurance.
- No Foreign Transaction Fees: This is a standard benefit for many travel cards.
"The AAdvantage Globe card offers hundreds of dollars in annual statement credits, lounge passes, checked bag benefits, and more. If you can use half of the card’s perks, these can justify the $350 annual fee for keeping the card in your wallet," states a Citi spokesperson.
Earning Miles and Elite Status
The AAdvantage Globe card offers competitive earning rates across various spending categories:
- 6x miles on eligible AAdvantage Hotels bookings.
- 3x miles on eligible American Airlines purchases.
- 2x miles at restaurants, including takeout and delivery.
- 2x miles on “Rides and Rails,” covering taxis, rideshares, and public transit.
- 1x mile on all other purchases.
Cardholders also earn 1 Loyalty Point toward AAdvantage elite status for every eligible AAdvantage mile earned from purchases. This provides a direct path to status simply by using the card for everyday spending.
Loyalty Points Explained
American Airlines uses Loyalty Points to determine elite status. Unlike traditional flight segments or miles, Loyalty Points are earned through various activities, including flying, spending on co-branded credit cards, and engaging with partners. Reaching specific Loyalty Point thresholds unlocks different elite status tiers.
Accelerated Path to Elite Status with Flight Streak
Beyond earning Loyalty Points through spending, the AAdvantage Globe card introduces a unique Flight Streak benefit. This benefit allows cardholders to earn up to 15,000 bonus Loyalty Points each year.
- Earn 5,000 bonus Loyalty Points after completing four qualifying American Airlines flights during the status qualification year. The qualification year runs from March through February annually.
- Cardholders can earn a total of 15,000 extra Loyalty Points through Flight Streak by completing 12 qualifying flights within the same qualification year.
To reach AAdvantage Gold status, the lowest elite tier, 40,000 Loyalty Points are required. Even at 15,000 Loyalty Points, cardholders can qualify for a Loyalty Point Reward. This reward allows choices such as preferred boarding, a personalized luggage tag, 1,000 bonus Loyalty Points, extra benefits for a single trip, or five Preferred Seat coupons.
Final Assessment of the AAdvantage Globe Card
The AAdvantage Globe card is a significant addition to Citi and American Airlines' portfolio. It provides a comprehensive set of benefits for a mid-range annual fee. While it offers standard airline card perks like early boarding and complimentary checked bags, it also includes more premium features.
These premium features include security program credits, a valuable companion certificate, and lounge passes. The inclusion of Turo credits and the 'Globe' feature for Admirals Club passes make this card stand out. For travelers who desire valuable perks without needing an unlimited lounge membership or the higher annual fee of top-tier cards, the AAdvantage Globe card presents a compelling option. It aims to offer substantial value that can justify its $350 annual fee for many American Airlines loyalists.
